You cannot rely on this record in your tax affairs. It is not binding and provides you with no protection (including from any underpaid tax, penalty or interest). In addition, this record is not an authority for the purposes of establishing a reasonably arguable position for you to apply to your own circumstances. For more information on the status of edited versions of private advice and reasons we publish them, see PS LA 2008/4.

Edited version of private advice

Authorisation Number: 4120081782964

Date of advice: 27 April 2021


Subject: Undeducted purchase price of a foreign pension or annuity


Are you entitled to an undeducted purchase price (UPP) deductible amount in respect of your foreign pension?


Yes. The deductible amount has been calculated in accordance with the formula under subsection 27H(2) of the Income Tax Assessment Act 1936

This ruling applies for the following periods:

Year ended 30 June 20XX to year ended 30 June 20XX

The scheme commences on:

9 November 20XX

Relevant facts and circumstances

You are a resident of Australia for income tax purposes.

Your pension is paid by a scheme maintained overseas

You have provided of the Calculation of Assessment Basis statement from the fund to assist the Commissioner in determining the amount of your personal contributions

Your pension commenced on XX November 20XX and is payable for life

You currently receive 100% of the pension

The residual capital value of the pension is nil

Your pension is paid on a monthly basis.

Relevant legislative provisions

Income Tax Assessment Act 1936 Section 27H

Income Tax Assessment Act 1936 Subsection 27H(2)

Income Tax Assessment Act 1936 Subsection 27H(4)

Income Tax Regulations 1936 Regulation 9